In brief
- Eliza Labs sued X Corp., alleging theft of AI tech and anti-competitive deplatforming.
- A legal expert said that Eliza Labs’ open-source status weakens IP claims, but unfair practices may hold.
- Eliza Labs seeks damages, reinstatement, and profits from allegedly misused technology.
Eliza Labs and its founder, Shaw Walters, are suing Elon Musk’s X, claiming the company tricked them into handing over technical details about their AI tools, then banned them from the platform and launched copycat products.
The lawsuit says X unfairly used its monopoly power, damaged Eliza’s reputation, blocked its access to customers and investors, and profited from Eliza’s innovations. Eliza Labs isn’t naming a dollar figure, but is asking the court to make X return its “ill-gotten gains,” pay for Eliza’s losses, and add treble damages and punitive damages on top.
Eliza Labs is the company behind ElizaOS, an open-source framework for building autonomous
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Author: Jason Nelson
